Using OA for higher return?

 Someone shares on using OA to buy lifetime annuity which pays 7% p.a, and principal guaranteed upon bequest.


I adds this illustration:

$100k ×(0.07−0.025)=$4.5k p.a. extra = $375 p.m. extra

$200k ×(0.07−0.025)=$9k p.a. extra = $750 p.m. extra

$300k ×(0.07−0.025)=$13.5k p.a. extra = $1,125 p.m. extra

Actually it may not a bad idea.  But do our/your own research and decision.

My takeaway:
1.  It maybe easily for Seniors to invest our OA in it, if they intend to keep the invested amount for bequest.

2.  Too long runway may result in regrets if one needs urgent cash and its portfolio drops its value to surrender.  Sure drop in value one as no free lunch.

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